Privatizations

Some of the privatization projects of Burgan Securities Corporate Finance team are represented below.

Sell Side Advisor for the Privatization of Salipazari Cruise Port

Burgan Securities advised the Privatization Administration for the privatization of Salipazari Cruise Port as the Consortium Leader for determination and execution of its strategic options as well as the coordination and management of the tender process, between 2010 and 2014.

Burgan Securities led all preparation stages of the tender process over the years and successfully managed execution of the tender process.

The tender process which started following the release of tender announcement in January 2013, was successfully completed with the public auction held on 16th May 2013.

The Privatisation of the Port under the transfer of the operating rights agreement for 30 years was finalized on February 14th, 2014 with the execution of the agreement by the PA and Dogus Holding AS for a price of US$ 702 million.

İDO

Burgan Securities provided exclusive buy-side financial advisory services during the tender process and advisory for securing project finance during the post tender process to Tepe – Akfen – Souter – Sera consortium for the acquisition of IDO shares, for a total equity consideration of US$ 861 million.

Burgan Securities provided following advisory services:

  • Coordinating the project team (legal, financial and technical advisors) for the data room process
  • Undertake valuation analysis of the target
  • Formulating the bidding strategy
  • Coordinating the entire tender process through undertaking necessary execution activities and providing essential data for strategic decision making

IDO was tendered on April 2011 and the transaction was closed on June 16th, 2011.

İZGAZ

Kocaeli Metropolitan Municipality mandated Burgan Securities as its exclusive sell side advisor for the privatization of its natural gas distribution subsidiary, İzmit Gaz Dağıtım San ve Tic A.Ş. (İzgaz).

Burgan Securities has been providing the following advisory services:

  • Preparing detailed marketing documents including sector, market and company related information
  • Identifying potential domestic and international bidders and managing relations
  • Performing valuation analysis of the target
  • Preparing the Information Memorandum
  • Preparing the data room documents

Preparing the tender specifications Burgan Securities organised the tender process and provided assistance to the Tender Commission.

Izgaz was tendered on August 2008 and the transaction was closed on January 21st, 2009.

Erdemir
  • Burgan Securities advised Turkey' s Privatisation Administration for the privatisation of Ereğli Iron & Steel through a tender held on 4 October 2005, culminating in a price of US$2.77 bn for a 46.12% stake.
  • Burgan Securities, which had been involved in this project since its conceptual stage, developed exceptional relationships and communication flow with the PA, the Company and the Government and related authorities.
  • The transaction closed on October 4th, 2005.
Tüpraş

Burgan Securities advised Austrian OMV AG during the privatization process of Tüpraş.

Burgan Securities provided the following advisory services:

  • Providing local market information with respect to regulatory authorities and the selling authority
  • Providing financial information, information on macro-economic environment and data on comparable companies
  • Valuing the company
  • Coordinating the entire tender process through undertaking necessary execution activities and providing essential data for strategic decision making

The transaction closed on September 12th, 2005.

Uzan Cement

Burgan Securities advised Italcementi Group regarding its acquisition options among Uzan Cement Assets.

Burgan Securities provided the following advisory services:

  • Running the feasibility studies with respect to Uzan cement factories
  • Providing local market information regarding competition, regulatory authorities, and the selling authority
  • Coordinating the whole tender process via undertaking the necessary execution activities and providing essential data for strategic decision making

Burgan Securities successfully brought Italcementi Group to the auction stage for each of the five assets they bid for.

Anadolu Group

Burgan Securities advised Anadolu Group during the privatization process of Turkish State Vehicle Inspection Services.

Burgan Securities provided the following advisory services:

  • Organising meetings between the Privatisation Administration, the Ministry of Transport, the government, related authorities, and potential local bidders
  • Developing and implementing a lobbying strategy for Anadolu Group, and communicating the views and expectations of the consortium to the related parties
  • Negotiating potential partnership terms with prospective local and international bidders

Burgan Securities also provided a full range of buy side advisory services required by Anadolu Group to bid in Vehicle Inspection Services tender.

With the support of Burgan Securities, Anadolu Group was successfully short-listed in the process.

Tekel

Burgan Securities advised Korean tobacco monopoly KT & G during the privatization process of Tekel. Seeking to explore growth opportunities in the Turkish market, KT&G considered participating in Tekel's privatisation tender, as part of its expansion strategy in Turkey. KT&G ultimately decided not to participate in Tekel's block sale.

Burgan Securities provided the following advisory services:

  • Coordinating the project team (legal counsel, auditor) for the data room process
  • Valuing the company
  • Formulating the bidding strategy
  • Managing relations with the government